Hyderabad: Hyderabad Metropolitan Development Authority (HMDA) which is going to conduct an auction of 38 open plots located on the outskirts of the city is hoping to generate a revenue of Rs 1000 crore.
The auction will be conducted in two sessions and is going to be held on January 18.
Ahead of the auction, a pre-bidding meeting was held yesterday. Over 100 prospective bidders took part in the meeting.
Size, upset price
The size of the plots varies from 302 sq. yards to 9680 sq. yards. However, the majority of them are more than 1000 sq. yards. The plot of 9680 sq. yards is located in Puppalaguda in Gandipet.
Other plots are located in Puppalguda, Nallagandla, Chandanagar, Manchirevula, Kokapet, Bairagiguda, Darga Hussaini, and Peeramcheru in Rangareddy. In Medchal districts, the plots are located in Ameenpur, Isnapur, Patelguda, and Sultanpur in Sangareddy and Bachupally, Bowrampet, Moosapet, Suraram, and Korremula.
The upset price ranges from Rs 10, 000 to Rs 1.5 lakh per sq. yard. The authorities have fixed Rs 1.5 lakh per sq. yard for open plots located in Nallagandla, the outskirts of Hyderabad. The lowest upset price of Rs 10,000 was fixed for land in Isnapur.
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Comparison of flats and plots in Hyderabad
Though arranging funds for open plots in Hyderabad is a little difficult as Loan-to-Value (LTV) for plots is less when compared to flats, plots give freedom of building dream houses as per persons’ preferences.
Moreover, the returns are higher in the case of open plots. As per experts, plots appreciate faster than apartments due to limited supply.
With age, the value of a flat may decrease, the same is not true in the case of a plot. The value of plots appreciates and the rate of appreciation depends on various factors including location and proximity to big infrastructure projects.